THE SAVINGS BANKS

Auckland Star, Volume LXXVI, Issue 152, 29 June 1945, Page 7

THE SAVINGS BANKS

DEPOSIT LIMIT INCREASED WELLINGTON, Thursday. Trustee savings banks have been empowered to increase the maximum deposit on which interest can be paid from the present limit of £200 to £500 by the Savings Banks Emergency Regulations, 1945, which were gazetted to-day. Among the banks affected is the Auckland Savings Bank.

The Minister of Finance, Mr. Nash, stated to-night that the decision to increase the limit on which interest might be paid on ordinary deposits with trustee savings banks had been made in view of the availability for repayment between June 30 and September 30 of this year of investments in national savings accounts up to June 30 1943. This was designed to assist persons whose national savings accounts are held by trustee savings banks and whose circumstances prevented them from taking advantage of the opportunity offered to reinvest in national savings at 3 per cent for a further period.

The Minister added that the trustees were now given power to fix a limit not exceeding £500 on which they might pay interest at the present rate of 2k per cent. He understood that the trustees intend to announce a decision in this regard at a very early date.

AUCKLAND DECISION

Extension from £200 to £400 of the interest-bearing limit on all deposit accounts in the Auckland Savings Bank was announced by the trustees of the bank to-day, following the Government's decision empowering all trustee savings banks to increase the limit.

The manager of the bank, Mr. F. E. Sutherland, said this morning that the Government's decision was the result of the efforts of the Associated Trustee Savings Banks. The Minister of Finance, Mr. Nash, has expressed the sincere thanks and appreciation of the Government for the work of the banks in the national savings campaign and in wartime investment in Government loans.

Over £3,250,000 had been deposited with the five trustee savings banks in New Zealand for the credit of national savings accounts, and approximately £1,000,000 of this amount could be withdrawn on or after to-morrow. The banks had also invested from their funds over £9,000,000 in war loans in the present war, and the total amount to the credit of their depositors exceeded £23,000,000, inclusive of Auckland's total of £15,000,000.